Probate & Land Sale

[iceblue]

Facts:

1. "Sam" is named on the land registry as the owner of land and the dwelling on it.
2. Sam passed away years ago.
3. His only family was a sister "Anne" who continued to live in the family home until she too passed away recently.
4. The site is now up for sale by "Jim" who is Anne's only son and Jim's only nephew. In other words he is the only surviving member of the family.
5. Grant of Probate / Letters of Administration has not occured so far.

Assumptions:

1. "Jim" does not have the funds to close out the probate / inheritance process including solicitors fees, taxes etc.
2. He would need the proceeds of a sale to do this

I would like to purchase this site from Jim however I have concerns:

• Is he legally in a position to sell it?
• If not what is involved to get him to that position? How complicated is it!!!
• What kind of timescales are involved?
• Is it possible for us to reach Sale Agreed on the land/dwelling and for the sale and the probate/inheritance process to be completed simultaneously?
• What other matters do I need to consider?

 

[dewdrop]

Whatever happens you will need a solicitor so perhaps at this stage you should raise these issues with him/her

 

[j26]

To address your concerns;

He may well be entitled to claim a legal title to the property, and based on the facts you've outlined there's a good chance that he can do so.

If he can there are 2 basic options - administer the estate, or adverse possession. Each has its own benefits and drawbacks. Administering the estate may be faster, but could be more expensive. Either way, tax may need to be paid, and the timescale will be long. Depending on the circumstances, it could take up to a couple of years.

You can of course agree to a sale, but in such a situation it would be prudent to insert a condition to the effect that completion of the sale will happen 7 days after he produces you a folio with him registered as owner. If he's unwilling to do this, just walk away - you're buying yourself into a load of headaches.

You need to consider tax implications - if you agree to buy the property before he has sorted title, you will have to make an application based on adverse possession. Part of that requires production of a certificate of discharge from Capital Acquisitions Tax. You also need to consider your mortgage if you're getting one. Letters of offer have an expiry date, and it's likely that sorting the title will take longer, so a condition that the sale is subject to mortgage approval would be prudent.

Definitely get specific legal advice from a competent solicitor before going any further.

 

[iceblue]

Thanks folks!

I imagine he could claim legal title relatively easily and there would be no need to go down the adverse possession route.

However I am disappointed to realise that administering the estate could take years!!! I had hoped it would be relatively easy and quick, albeit expensive for him to carry out.

What is it that makes the administering process so long??? I had anticipated 4 - 12 months at the most.

Good advise on the mortgage and sale completion conditions. I hadn't considered those....hence yes I would get a solicitor involved before going too far.